stretching back many years. We may no longer have responsibilities for
their defence. But we continue to enjoy close and valuable political
relations. In some cases these include treaties of friendship with
provision for consultation in time of need. And the countries of the Gulf
area are now among our most important overseas markets. In 1982, the
States of the Gulf Cooperation Council accounted for nearly £3 billion
worth of British exports more than 5% of our exports worldwide. There is
substantial British investment in the Gulf region. And some 90,000 British
nationals live and work there itself an indication of the close ties we
enjoy and the extent of our commercial interests. The stability of those
states is thus of very real concern to us.
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30. The threat to shipping in the Gulf is one on which we are keeping a
close watch. We have protested to Iraq about the deplorable attack on the
British registered ship, 'The Charming' on 1 March near the Iranian port of
Bandar Khomeini. Any escalation of the fighting in this region would carry
major risks and we call on both parties to show the necessary restraint.
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